UAE - Mubasher: Fitch Ratings has affirmed the UAE's long-term foreign-currency issuer default rating (IDR) at 'AA-' with a stable outlook.
Affirming the rating is attributed to the UAE's moderate consolidated public debt level, strong net external asset position, high GDP per capita, and Abu Dhabi's likelihood of support, according to a recent press release.
The 'AA-' rating also applies to the UAE federal government based on the consolidated fiscal and external position of all the emirates as is standard practice for federal entities, the government's standalone fiscal position, and institutional setup.
Meanwhile, the global rating agency expects overall GDP to expand by 1.8% in 2021 after a 6.1% contraction, with a non-oil growth of 3.5% and further contraction in the hydrocarbon sector due to constraints from OPEC commitments on oil production.
